US Sues to Block UnitedHealth’s $3.3 Billion Amedisys Deal

The US Justice Department sued Tuesday to block UnitedHealth Group Inc.’s $3.3 billion purchase of Amedisys Inc. over concerns the deal would harm competition in the market for home-health and hospice services.

The antitrust lawsuit, filed in Maryland federal court, alleges the combination could lead to higher prices in home health care in 23 states and Washington, DC, where Amedisys is a main competitor to UnitedHealth’s LHC Group. Last year, the insurer bought LHC, which was folded into its Optum Health business. The attorneys general of Maryland, Illinois, New Jersey and New York also joined the complaint.

Amedisys ...